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AGCO CORPORATION ANNOUNCES COMPLETION OF WHITE-NEW IDEA ACQUISITION; ACQUISITION EXPANDS AGCO'S PRODUCT LINE AND DEALER NETWORK

 ATLANTA, Jan. 4 /PRNewswire/ -- AGCO Corporation (NASDAQ: AGCO) today announced the completion of the acquisition of the White-New Idea Farm Equipment Division from Allied Products Corporation (NYSE: ADP).
 As part of the arrangement, AGCO has acquired substantially all of the division's net assets, primarily dealer accounts receivable and inventories. A second part of the arrangement, whereby AGCO is to acquire the division's manufacturing facility in Coldwater, Ohio, and its master replacement parts warehouse in Kewanee, Ill., is anticipated to be completed in the near future. The total purchase price, including the manufacturing and parts distribution facilities, is estimated at $55 to $60 million and is being financed through AGCO's current revolving credit facility.
 White-New Idea manufactures, markets and sells agricultural implements and replacement parts through approximately 900 independent dealers in the United States and Canada. Products include planters, hay tools, material handling and tillage equipment. Hay tools and material handling equipment are typically used by farmers and ranchers involved in livestock and dairy operations. Hay tools produced include round balers, mower conditioners, sickle bar and disc mowers and rakes. Material handling equipment primarily includes manure spreaders for fertilizer applications. Planters are used for row crops such as corn, cotton and soybeans.
 White-New Idea's sales for the 11 months ended Nov. 30, 1993 were $75.1 million. The company's market shares range from approximately 15% to 20% in the primary product categories in which the company competes.
 Robert J. Ratliff, AGCO's chairman and chief executive officer, reconfirmed the significance of the acquisition stating that "the company expects the acquisition of White-New Idea to be additive to earnings in 1994. The acquisition in consistent with AGCO's overall corporate strategy of maximizing the distribution of farm equipment and replacement parts through multiple independent dealer organizations."
 -0- 1/4/94
 /CONTACT: Allen W. Ritchie, senior vice president and CFO, AGCO Corporation, 404-246-6110/
 (AGCO ADP)


CO: AGCO Corporation; White-New Idea Farm Equipment; Allied Products
 Corporation ST: Georgia IN: MAC SU: TNM


BR-CM -- AT001 -- 8774 01/04/94 08:55 EST
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Publication:PR Newswire
Date:Jan 4, 1994
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